The Huawei Mate 60 Pro is getting a serious look from U.S. government officials who are trying to figure out how Huawei and SMIC (China’s largest foundry) created 7nm Kirin 9000S 5G chipsets in the face of U.S. sanctions. Huawei is not allowed to be shipped any cutting-edge chips made by any chip foundry that uses American technology to produce chips.
As a result, Huawei’s flagship Mate 50 series and P60 series used Qualcomm’s Snapdragon 8+ Gen 1 application processor after the company obtained a license to import the components. However, Qualcomm was forced to tweak these chips so that they would not work with 5G networks. But out of nowhere, the Mate 60 Pro uses chips produced by SMIC using its second-gen 7nm process node and these chips support 5G.
The other phone under intense scrutiny, but for a different reason, is the iPhone 15. Apple just unveiled the four new models in the series and worldwide phone buyers are taking a hard look at the new handsets to see which models they want to buy. They also want to see the new USB-C port on the devices.
Interestingly, in China, both the Mate 60 Pro and iPhone are assembled by the same contract manufacturer, Foxconn. And the Foxconn unit that assembles Huawei phones is paying its workers more than the unit that assembles the iPhone.
Two recruitment agents told SCMP that Foxconn’s FIH division, a subsidiary that used to be known as Foxconn International Holdings, was offering new workers last week 26 yuan an hour ($3.60) to help assemble the Mate 60 Pro at the Foxconn factory in Shenzhen’s Longhua district. Meanwhile, workers helping to assemble the iPhone at Foxconn’s integrated Digital Product Business Group (iDPBG) are making 21 yuan an hour ($2.88), or 19.2% less than those building the Mate 60 Pro.
A recruitment agent with the surname Xu in Shenzhen said, “The new hires will know what phone they are making after the factory allocates them to different teams based on current demand, but these days they have a higher chance of making handsets for Huawei.” The agent went on to say that those making the iPhone make less than those working for Foxconn’s FIH unit because the iPhone production unit offers more welfare benefits for workers.
In Zhengzhou, home to the largest iPhone factory in the world, Foxconn is offering workers a peak signing bonus of 6,480 yuan ($888.35). Meanwhile, this year could be one of the toughest launches for the iPhone in China. Not only did the introduction of the Huawei Mate 60 Pro unleash a wave of nationalistic pride in the country, but the CCP banned the iPhone from being used in government offices citing security issues with the phone.
Just the other day, reliable analyst Ming-Chi Kuo pointed out that Apple doesn’t market the iPhone to those working in government offices and stated that people in China who buy Huawei phones do not buy the iPhone. As a result, he didn’t change his estimate of iPhone shipments for the rest of this year.